Governor Jared Polis Addresses President Biden On Cannabis Rescheduling: What It Means For States Like Colorado

“It’s about time,” declared Colorado Gov. Jared Polis in a letter addressed to President Joe Biden several days after the Department of Health and Human Services recommended moving marijuana from a Schedule I to a Schedule III substance.

This potentially game-changing proposal resonates with leaders, advocates and stakeholders in the marijuana industry.

In a recent exclusive interview with Benzinga, former Senator Cory Gardner (R-CO), an NCR Advisory Member, said that when Colorado first broached the subject, the majority were skeptical. Yet, as perceptions evolved within the state, we “start to see more and more people come on board. And even those who opposed it and may still oppose it today actually understand the need to change the laws because the states have moved to move on their own," he said.

To further discuss these evolving views, Gardner, Rep. Ed Perlmutter (D-CO) and senior counsel at Akin Gump Strauss, Hauer & Feld LLP, Reggie Babin, will convene at the upcoming Benzinga Cannabis Capital Conference in Chicago. Mark your calendar for September 27 and 28.

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What's In The Letter To Biden?

Gov. Polis told President Biden that he appreciated the administration's progressive step. "This is a historic moment and we owe you and your administration a debt of gratitude for your leadership in catching up with where the science is.”

According to Westword, Polis called for further marijuana reforms, emphasizing such issues as easier banking access, reduced criminal penalties and strategic oversight by the FDA.

Related Content: Colorado Gov. Polis And California Senate's Reforms In Cannabis-Related Employment Protections

Will the historically prohibitionist DEA support these recommendations?

Polis was optimistic, underscoring the growing public endorsement for federal legalization and the tax windfall and economic benefits legalized states have witnessed.

"Your administration will soon be credited with saving hundreds of thousands of jobs and significant tax revenue for the states when the DEA solidifies [the] recommendation."

Additionally, Polis pointed out the need for replacing the illicit cannabis market with a "legal, safe, regulated, and age-verified system," adding that federal policies would ensure profitability in state-regulated marijuana marketplaces.

"The most efficient way to address these public health risks is to displace the illicit marketplace and replace it with a legal, safe, regulated, and age-verified system. But we can only do that by promoting federal policies that allow for profitability in these well-established state-regulated marketplaces. That equates to IRS Section 280E reform and access to traditional banking services," Polis wrote.

Related Content: How Colorado's Marijuana Tax Money Benefits Many Business Sectors Beyond Cannabis

The Industry's Economic Challenges In Colorado Are Palpable

Buck Dutton of Native Roots Cannabis laid out the fiscal struggle, detailing how federal tax rates gnaw at their profit margins. Similarly, Mason Tvert from Colorado Leads expressed hope that the DEA, traditionally a law enforcer, does not morph into a health policy creator, per CBS News.

The marijuana industry, though buoyed by the news, remains cautiously optimistic.

Closing his letter, Governor Polis reflected an air of hope and camaraderie, inviting President Biden to visit Colorado and witness firsthand the state’s pioneering efforts in the marijuana landscape.

As the Benzinga Cannabis Capital Conference returns to Chicago on September 27 and 28, it promises further dialogues that focus on policy, equity, and the wider implications of cannabis's potential reclassification. All information is available at bzcannabis.com

Image by El Planteo